Baghdad: Iraq's new interim Government has assumed full control of the country's oil sector, which includes the world's second-largest reserves, the Prime Minister and Oil Minister said today (June 9,2004).

"We are now totally in control, there are no more advisers. We are running the show," Oil Minister Thamer Ghadbhan said during a tour of the Al-Dura oil refinery in a Southern Baghdad suburb.

"The oil policies will be implemented 100 per cent by Iraqis. This is the way forward."

Iraq's oil sector, which accounted for up to 95 per cent of the country's income before the US-led invasion in March 2003, had previously been under the control of the ruling US-led coalition.

"In the past, Iraqi oil was used in building palaces, buying weapons to achieve one person's goals," said Prime Minister Iyad Allawi, referring to ousted President Saddam Hussein.

"Today the most important natural resource has been returned to Iraqis, to serve all Iraqis," he added.

"The new government will have full control of the oil revenues."

Iraq has the world's second largest proven oil reserves after Saudi Arabia with 115 billion barrels.